Apple to set up development center in Israel

JERUSALEM (JWN)–Apple plans to open a research and development (R&D) center in Israel that will focus on semiconductors. This will be the first time the giant US company is expanding its R&D beyond its California home base.

The daily business paper, Globes, reports that Apple has already hired Israeli hi-tech veteran Aharon Aharon to head operations.

Apple invests only 2 percent of its revenues on R&D, which is relatively low compared to other hi-tech companies. Meanwhile, reports of the development center in Israel came a few days after rumors that Apple is in talks to buy Anobit, an Israeli flash storage maker, for $400 million-$500 million.